MercoPress. South Atlantic News Agency

Uruguay’s trade deficit increases fourfold in 2011 to 549 million dollars

Beef remains as Uruguay’s main income earner

Uruguay’s trade deficit soared to 549 million dollars in 2011 because of an increase in imports of 23.6%, far ahead of exports rise, 18.1%, according to the Uruguayan government foreign trade institute Uruguay XXI.

Total exports climbed to just over 8 billion dollars while imports reached 8.571bn. The trade deficit increased almost fourfold from the 144 million dollars of 2010.

In December, exports fell 4.8% and imports, 5.7%, reaching 689 and 755 million dollars respectively.

Brazil remains as Uruguay’s main trade partner with 20.3% of the overall exchange with exports to Brazil in 2011 increasing by 11.5% to 1.63 billion dollars. China was second with 8.3% of overall trade and 665 million dollars, which represents a 78.3% increase over 2010.

China is followed by the Nueva Palmira Free Zone and in fourth place Argentina with sales having increased 16.8%, and representing 7.3% of overall trade.

Uruguay’s main export item is beef, 12.2% of the total and equivalent to 979 million dollars which represents a 16.1% increase over 2010.